Mexico's National Statistics Institute says the economy grew 1.8 percent in the first quarter of this year, compared to the same period last year. The Mexican government says the sluggish growth has caused it to drop projections for 2014 to 2.7 percent from the original 3.9 percent projection. The weaker growth report came two days after Mexico's Central Bank also lowered the annual forecast for economic growth this year to between 2.3 and 3.3 percent from the original 3-4 percent.
Carlos Slim, Latin America's richest man, said he thinks Mexico's economy will start to grow at a faster pace next year after overcoming a sluggish past couple of years. The Mexican economy grew by just over 1 percent last year and the government in May cut its forecast for 2014 to 2.7 percent. Interest rates are now at a record low of 3 percent. Slim tells Reuters "Last year's growth was low, I think that this year it will be relatively low too, but I think next year will be much better.
The Daily Digit today is 2.7%. U.S. Gross Domestic Product, or GDP, grew 2.7% in third quarter, which was more than analysts expected. The reason? In short, the holidays. Stores stocked up for before the present-giving season and, as a result, inventories bounced -improving the GDP number. Another boost: an increase in exports. But- overall, people and companies spent less on goods and services.
General Motors Company said on Thursday it has issued five more recalls, covering about 2.7 million vehicles in the United States. As a result, the firm is expected to take a charge of up to $200 million. Still dealing with the fallout from the recall of 2.6 million defective ignition switches that have been linked to at least 13 deaths, GM did not have the exact number of how many vehicles outside of the United States were affected by the recalls.
U.S. home construction fell in June to the slowest pace in nine months, a setback to hopes that housing is regaining momentum and will boost economic growth this year.Construction fell 9.3 percent last month to a seasonally adjusted annual rate of 893,000 homes, the Commerce Department said Thursday. That was the slowest pace since last September and followed a 7.3 percent drop in May, a decline even worse than initially reported.
Britain's productivity returned to modest growth towards the end of last year, raising hopes that 2014 will bring an end to years of bafflingly low levels of output that have hindered the economic recovery. The Office for National Statistics said on Tuesday that productivity on an output-per-hour basis was up 0.3 percent from October through December, reversing a 0.2 percent drop in the third quarter, and rose 0.7 percent on the year-ago period.
Britain's economy in 2013 recorded its fastest annual growth since the financial crisis despite a slight slowdown in the last three months of the year, official data showed on Tuesday. Supporting expectations for a bright 2014, Britain's gross domestic product rose by 0.7 percent in the fourth quarter, the Office for National Statistics said - in line with economists' forecasts for a small reduction from the third quarter's pace.
South Korean auto makers Hyundai Motor Co ( 005380.KS ) and Kia Motors Corp ( 000270.KS ) are bracing for their most sluggish growth in annual sales since 2003 as the weakening of the yen fuels exports from Japanese rivals. Hyundai and its affiliate Kia, together ranked fifth in global car sales, aim to boost global sales by 4 percent this year to a combined 7.86 million vehicles. Growth will come from revamped versions of key models and increased production capacity in China.
Italian Economy Minister Pier Carlo Padoan said in interview published on Sunday he believed that growth in 2014 could be more than 0.8 percent but that he could not say by how much. In the interview in the Corriere della Sera, Padoan was asked if growth could come in more than the 0.8 percent forecast earlier this month in the government's so-called Economic and Financial Document containing new targets for coming years.
Japanese retail sales fell 4.4 percent in April from a year earlier, the fastest annual decline since the March 2011 earthquake, as consumers cut back on shopping after an increase in the sales tax. The fall was bigger than the median estimate for an annual 3.3 percent decline. The government raised the national sales tax to 8 percent from 5 percent on April 1 to pay for rising welfare costs.